Russian software market is shifting towards domestic solutions, according to recent data. The average share of Western software on the Russian market was around 90% until 2022, but the trend has changed since international companies left the market. Russian developers were forced to react quickly and replace some foreign solutions. Sergei Grebennikov, Director of the Russian Association of Electronic Communications, stated in an interview with Izvestia that Russia has invested actively in the development of its own high-tech solutions over the past three years.
“We observe a growing demand for domestic products in all segments, from cloud technologies to cybersecurity and business automation programs” Grebennikov said. “The emergence of new, domestically produced software and services contributes to strengthening the independence of our market and increasing the overall digitalization of the economy.”
The results of this investment are already visible, according to the Ministry of Digital Development. Russian companies now use more than 80% of domestic software, the ministry reported. State regulations have also played a role, with government companies being required to switch to domestic software in the past. The ministry stated, “The process of import substitution continues, taking into account the needs and proposals of market participants. Now, companies increasingly prefer Russian solutions. For state companies and organizations involved in the digital transformation, the share of domestic software usage is over 80%.”
Igor Bederov, Head of the Research Department at T.Hunter, a company that implements information systems, notes that the active import substitution in the IT sector primarily concerns office packages, basic software products and operating systems. “In Russia, we are now focusing on mass-produced products that should be implemented, bought and delivered for most computers and mobile phones” he said. “These include operating systems, office packages and other related software.” However, he emphasized that highly specialized solutions, such as 3D modeling software, may be harder to replace and could take several more years.